Groupon slides after wider loss in Q2

Groupon

31/07/2024 13:07

** Groupon's  GRPN.O  shares down 3.8% at $15.11, after
being down more than 15% premarket, after daily deals platform
reported wider qtrly loss
    ** Co late Tues posted Q2 net loss of $10 mln, or 25
cents/sh, compared to loss of $12.6 mln, or 41 cents/sh, a yr
ago
    ** Analysts expected profit of 2 cents in the qtr, per LSEG
    ** Rev in qtr fell ~3% yr/yr to $124.6 mln, above consensus
view of $121.7 mln
    ** Co said after a careful review it's exiting its local
business in Italy and expects to incur pre-tax restructuring
charge of up to $7 mln and workforce reduction of 33 positions
    ** "While progress in transformation is not always a
straight path, I am confident that our transformation plan
focused on driving profitable top line growth can generate
attractive returns for our shareholders over the long-term," CFO
Jiri Ponrt said on conf call with analysts
    ** Roth MKM maintains "buy" rating, saying Q2 results and
guidance hurt by technical issues with co's website, but
believes these glitches are temporary and that growth "would
have been considerably better than expected"
    ** Brokerage trims its PT by $2 to $26
    ** 3 of 4 analysts covering GRPN rate stock "buy", 1 rates
"sell" and median PT is $18 - LSEG
    ** Through Tues, shares up 22% YTD vs 14% advance in the
Nasdaq  .IXIC  

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))